The FOMC’s first meeting of the year is likely be a quieter affair than its December meeting, when the Committee accelerated its taper plans and outlined a more aggressive policy path for 2022. According to Wells Fargo, “there will not be a fresh Summary of Economic Projections, and we expect …
Read More »Fed’s Evans expects four rate hikes in 2022 if inflation doesn’t abate
Chicago Federal Reserve President Charles Evans said on Thursday that three rate hikes in 2022 would be a good “opening bid”, though it could be four if inflation doesn’t improve fast enough.Evans added that he is reluctant to declare that the US has reached full employment, but that inflation is …
Read More »Fed Remains Alert To Counter Accelerating Inflation
The US Federal Reserve will use all the available and necessary tools to support the American economy and to help the labour market to grow stronger.Fed is determined to prevent higher inflation from becoming entrenched according to the prepared remarks from Jerome Powell confirmation hearing before the Senate Banking Committee. …
Read More »What to Expect From US Employment Data?
Markets are awaiting the release of US employment data during December at 13:30 GMT. This data will be necessary given its strong impact on the dollar and the currency market movements. Markets expect to add 400,000 jobs in December, compared to 210,000 jobs previously recorded. Expectations also indicate a decline …
Read More »Could NFP Data Ignite More Hawkish US Policy?
The financial markets’ traditionally favorite US economic statistic has been dethroned, and new classes of data became of higher importance. For the next several quarters, the main role of Nonfarm Payrolls will be to support, reinforce and confirm the Federal Reserve’s new policy which is highly sensitive to inflation. Short …
Read More »WTI Briefly Eclipses $80.00 level to Multi-Week Highs
The WTI crude oil briefly eclipsed the $80 per barrel level for the first time since mid-November as OPEC+ struggles to lift output.Crude oil prices have rallied despite recent downside in global equities after hawkish Fed minutes, and are keeping an eye on Kazakhstan unrest.Front-month WTI futures have surged on …
Read More »US Shares Fall Sharply on Hawkish Fed, Canadian Shares Track Wall Street Lower
US stocks ended sharply lower on Wednesday after the FOMC minutes showed the Fed will likely raise rates sooner than earlier anticipated and could reduce its balance sheet shortly after it raises rates. The Dow Jones sank 393 points or 1.1% to 36407, after closing at a record level the …
Read More »USD/CAD Trading Flat Ahead Release of Hawkish FOMC Minutes
The USD/CAD pair has traded indecisively on Wednesday and is one of the worst G10 performers despite higher oil prices.A hot US ADP report and mixed Canadian housing data was ignored, with markets focused on the Fed’s December meeting minutes.USD/CAD has traded hesitantly within a relatively thin 1.2700-1.2750 range, roughly …
Read More »FOMC Minutes Preview
The US Federal Reserve will release the minutes of its December policy meeting on Wednesday, January 5, at 1900 GMT and investors will look for clues into the rate future. Investors will finally get to know the likely timing of the Fed’s first rate hike with the release of last …
Read More »Market Drivers – US Session – 4 January
Major currencies and other assets are still maneuvering to find their way amidst uncertainties imposed by the worldwide pandemic. The US dollar kept advancing on Tuesday, posting the most advance against the Japanese yen. USD/JPY pair jumped to 116.34, its highest since January 2017, as the dollar surged alongside US …
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